A government panel said Tuesday it will discuss new business models for Japan's postal services, including dividing them by region, in view of Prime Minister Junichiro Koizumi's plan to privatize the services.

The liaison council on postal privatization, which consists of officials from the Cabinet Office and the posts ministry and private-sector experts, discussed the goals and merits of bringing the postal services into private hands, government officials said.

The participants agreed to study the issues further and report their results to the Council on Economic and Fiscal Policy, a key government panel chaired by Koizumi, in late December, the officials said.